Which of the following statements about a movement along the production possibilities curve in the above figure is FALSE?
A) An additional computer can be produced only if fewer televisions are produced.
B) The trade-off between computers and televisions is not constant.
C) Society cannot have more of both goods at the same time.
D) There are no opportunity costs involved in choosing one point on the curve over all other points.
D
You might also like to view...
In classical growth theory, if real GDP per person is above the subsistence level,
A) population grows and lowers real GDP per person to its subsistence level. B) the pursuit of profit will cause economic growth to accelerate. C) technological growth occurs and keeps real GDP per person above its subsistence level. D) the economy will keep growing without limit. E) None of the above is correct because the classical growth theory asserts that real GDP per person can never exceed the subsistence level.
Who is cyclically unemployed?
A) Katrina, an assistant manager who quit her job to search for a better job closer to home B) David, a new car salesman who lost his job because the economy went into a recession C) Samantha, who quit her job to return to college to earn her MBA D) Casey, who lost his job because the technology changed so he was no longer needed E) Kathy, a steelworker who was laid off but has stopped looking for a new job because she can't find a new job